Although Apple CEO, Tim Cook has admirably maintained profits since taking over the helm from the late Steve Jobs, it’s hard to fight the urge to speculate about an alternate timeline wherein its co-founder never died.
At the time of his death, on October 5, 2011, Jobs was reportedly worth $10.2 billion. The majority of his income was halved between two primary sources. One of these was obviously Apple, where he took in a net of $2 billion. And the other was Disney, the mega-corporation that helped Jobs rake in roughly $8 billion a year.
In late 2020, Apple hit a $2 trillion market cap, which is the market value of a publicly-traded company’s outstanding shares. We can map how these developments would have impacted a living Steve Jobs by observing how they affect his company shares.
After a 7-1 stock split that went down in 2014, Jobs 5.5 million shares rose to 38.5 million. Another stock split, this time a 4-1 split, which took place as recently as August of last year saw Job’s 38.5 million shares surge to 154 million shares.
“Public companies like Apple have their shares traded on a stock exchange where average Joe buyers like you and me can buy and sell. Big money managers can do the same. The total number of shares in existence makes up the entire company. I often explain that it’s like cutting a pizza,” finance columnist, Chris Umiastowski writes.
“If you cut a pizza into a bunch of pieces. If you have all the pieces, then you have the whole pizza. But if you have one piece out of 10, you own 10% of the pizza. When a company splits its stock, it’s just like cutting the pizza slices into smaller slices.”
This means if Jobs was alive today, Apple would be making him $25 billion a year. But again, Disney made the magnate way more money than Apple ever did.
In 2017, Powell sold 64 million of those shares for $7 billion. She retains 74 million shares to this day and they’re currently valued at $13.3 billion. Disney alone makes Powell about $120 million a year.
However, had Jobs lived and never sold any of his 138 shares, Disney would be earning him 138 $25 billion a year.
“Add it all up and if Steve Jobs were alive today and held on to every single share of Apple and Disney, his net worth would be $45 billion. Every year he’d make $402 million per year from dividend payments,” Celebrity Networth founder, Brian Warner adds.
“Now, let’s pretend for a moment that Steve never sold any of his 20% original Apple stake. And to be fair, assume he never left the company to run Pixar and sell it for billions. If he just maintained that 20% stake as the company grew to a $2 trillion market cap, today he’d be worth well over $400 billion. That would therefore make him the richest human in modern history by a factor of TWO.”
Be sure to check back next week to find out how much Airbud’s estate pulls in from Revlon stocks.